Crude Oil Ends Higher On Ukraine, Russia Sanctions

(RTTNews) - U.S. crude oil ended modestly higher on Monday, supported by mounting tensions in Ukraine and additional sanctions on Moscow by the U.S., with concerns of a possible disruption of supplies from Russia.

In the continuing ongoing friction between the U.S. and Russia over Ukraine, the Obama administration on Monday imposed another round of sanctions on Moscow, although many analysts see them as less severe than expected. The U.S. moved to freeze assets of seven Russian officials with travel bans, while thirteen more companies were brought into the gambit of trade restrictions, limiting export or re-export of American-made products to them.

The U.S. has also revealed a new policy that will deny Moscow access to high-technology items that could enhance Russia's military prowess. All existing licenses to this end will also be revoked.

Light Sweet Crude Oil futures for June delivery, the most actively traded contract, gained $0.24 or 0.2 percent to close at $100.84 a barrel on the New York Mercantile Exchange Monday.

Crude prices for June delivery scaled a high of $101.52 a barrel intraday and a low of $100.33.

On Friday, crude oil futures ended sharply lower, losing $1.34 or 1.3 percent. For the week, oil lost about 3.6 percent.

The dollar index, which tracks the U.S. unit against six major currencies, traded at 79.68 on Monday, down from its previous close of 79.77 late Friday in North American trade. The dollar scaled a high of 79.84 intraday and a low of 79.55.

The euro traded higher against the dollar at $1.3855 on Monday, as compared to its previous close of $1.3846 late Friday in North America. The euro scaled a high of $1.3880 intraday and a low of $1.3816.

In economic news, pending home sales saw a more than anticipated rise in March with the National Association of Realtors' pending home sales index surging up 3.4 percent to 97.4 in the month, after edging down by 0.5 percent to a revised 94.2 in February. Economists expected a much more modest increase of about 0.6 percent.

Meanwhile, Germany's economic growth is set to lose momentum in the second quarter after a strong start to the year, Bundesbank said in its monthly report on Monday. The central bank indicated weakness in industrial orders as compared to the strong growth in the first quarter. However, economic activity shows upward trend in the second quarter, the bank added. The first quarter GDP data is due on May 15.

Economic reports in focus for the week include the U.S. non-farm payrolls report for April, the Conference Board's consumer confidence index for April, advance estimate for first quarter GDP and the Commerce Department's personal income and spending report for March.

Investors also await results of the Institute for Supply Management's manufacturing index for April, the regional manufacturing survey by MNI Indicators, auto sales for April and the jobless claims report. Additionally, the final estimate of Markit's U.S. manufacturing survey for March will also be eyed.